Japan Rates Topics: JSDA JGB Transactions in May

研报英文原文证据摘录

Japan Rates Topics: JSDA JGB Transactions in May

J P M O R G A N Global Markets Strategy

22 June 2026

Japan Rates Topics

JSDA JGB Transactions in May

• Looking back at the JGB market in May, the 10-year yield rose sharply from Japan Markets Research

AC 2.47% to 2.75% in the first half of the month, before partially retracing to Takafumi Yamawaki

2.64% toward month-end. While price action was notably volatile, it is worth (81-3) 6736-1748

reviewing how investors positioned during this period. takafumi.yamawaki@jpmorgan.com

• Insurers (super-long JGBs): Despite 30-year yields (on a compound basis) Hiroki(81-3) 6736-6783Yagi AC

briefly exceeding 4%, insurers were net sellers of JPY200bn. They appear to hiroki.yagi@jpmorgan.com

have been largely limited to switching from low-coupon bonds into current JPMorgan Securities Japan Co., Ltd.

issues, a pattern that is likely to persist.

• Trust accounts: Trusts were significant net buyers across sectors, with

+JPY1,240bn in super-long JGBs, +JPY550bn in long JGBs, and +JPY600bn

in intermediate JGBs. This likely reflected increased rebalancing flows amid

strong equity market performance.

• Foreign investors: Foreign investors recorded net buying of +JPY820bn in

super-long JGBs, +JPY710bn in long JGBs, and +JPY280bn in intermediate

JGBs. Buying in the intermediate sector showed some slowdown.

Key points to watch

• Although 30-year yields briefly exceeded 4%, insurers’ investment stance has

remained focused on switching, implying that demand in the super-long sector

is likely to continue relying on foreign investors and trust accounts. While

upward pressure on super-long yields may be becoming more limited, market

conditions are likely to remain volatile.

• Meanwhile, the emergence of stronger buying by domestic deposit-taking